Moldova’s government ousted over banking scandal

Moldova’s parliament on Thursday dismissed the country’s government, part of the fallout from a banking scandal that saw nearly $1 billion vanish from Europe’s poorest country and that set off long-running street protests in the capital.

The no-confidence vote was backed by 65 out of 101 MPs, and removed Prime Minister Valeriu Streleţ after just three months in office. It is seen as a victory for pro-Russian forces in the deeply divided country.

Moldova’s former prime minister, Vlad Filat, was arrested October 15 in connection with the fraud case, which saw the equivalent of an eighth of the country’s GDP disappear from three of the country’s leading banks. The missing money highlights the deeply rooted corruption in the former Soviet republic, which ranks 103 out of 175 countries on Transparency International’s Corruption Perception Index.

Filat was arrested after the scandal on charges of taking $260 million in bribes. He denies the allegation.

The fraud brought thousands of people to the streets in recent months. Protesters waved Moldovan and European Union flags while calling for the government to resign.

Moldova has been torn between joining the EU — a cause which Streleţ supports — and pursuing closer relations with Russia. Transnistria, Moldova’s separatist region along the border with Ukraine, is still occupied by Russian troops that have been stationed there since the fall of the Soviet Union. One MP, Iurie Tap, called the no confidence vote “a political act in the interests of Russia.”

Streleţ, in his final speech in parliament, said he was “seriously worried” about the country’s future, according to AFP.

“I see that some politicians have no desire to maintain the smallest amount of stability,” he said. “They want chaos, that is why they supported the dismissal of the government.”

Parliament now has three months to approve a new government or early elections will take place, according to the Associated Press.

The Romanian foreign ministry promised full support for Moldova Thursday afternoon, saying “the stability of the Republic of Moldova should be the first guiding priority at present.” Moldova was part of Romania before World War II, and there is a movement in Moldova to unite the two countries.

The European Commission called “on all political parties to act responsibly in the current difficult economic, social and political context,” said spokeswoman Maja Kocijancic.